TMI Blog2019 (5) TMI 25X X X X Extracts X X X X X X X X Extracts X X X X ..... maintain separate books for this purpose is not required as per law. AO has committed an error in assuming so. Hence this ground on which the AO has not accepted the suo motu disallowance made by the assessee u/s 14A is wrong. Thus, as the Assessing Officer has not recorded his satisfaction before rejecting the suo-moto disallowance made by the assessee u/s 14A of the Act, we delete this disallowance - Decided in favour of assessee. Disallowance of the provision made for leave encashment - HELD THAT:- This Bench of the Tribunal on identical facts for the Assessment Year 2011-12 in assessee s own case [ 2018 (6) TMI 360 - ITAT KOLKATA] we set aside this issue to the file of the A.O to fresh adjudication in accordance with law. The Asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... :- 26-4-2019 - Sri J. Sudhakar Reddy, Accountant Member And Sri S.S. Godara, Judicial Member For the Appellant : Shri A. Mansinka, AR For the Respondent : Shri Robin Choudhury, Sr. DR, Addl.CIT ORDER PER J. SUDHAKAR REDDY :- This appeal by the assessee directed against the order of the ld. Commissioner of Income Tax (Appeals)-3, Kolkata (hereinafter the ld. CIT (A) ), passed u/s 250 of the Income Tax Act, 1961 (the Act ), dated 23.11.2017 for Assessment Year 2012-13. 2. The assessee is a company and its nature of business is online market/auction for steel and other products and also for arranging financial loans etc. The i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not satisfied with the suo moto disallowance made by the assessee, are identical. The reasons stated for invoking Rule 8D was that the assessee did not maintain separate books of account for accounting for expenses incurred in relation to income not includable in the total income. This Bench in assessee s own case in ITA No.1960/Kol/2016 order dated 01.06.2018 for the Assessment Year 2011-12 on the same of facts held as follows: 8. Applying the proposition of law laid down in these judgment to the facts of the case we find that the assessing Officer has not given any cogent reason as to why he is not satisfied with the suo moto disallowance made by the assessee. The Assessing Officer s comment that the assessee did not to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the pending litigation, for all the years, wherein he sought deduction of the provision made for the leave encashment. Hence, this ground is allowed for statistical purposes. 10. Consistent with the view taken therein, we remand the issue to the file of Assessing Officer. 11. Ground Nos.3 4 are on the issue of computation of book profits u/s 115JB of the Act. 12. The assessee s case is that the provision has been made for leave encashment and gratuity on actuarial valuation and hence, the liability is an ascertaining liability and hence the liability has to be allowed. As regards bonus, it is argued that the assessee had paid bonus and hence it is an ascertained liability. The ld. DR could no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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